Tuttle Capital Management Shuts Down Inverse Cramer Tracker ETF
Date: 2024-01-28 Author: Dima Zakharov Categories: IN WORLD
Tuttle Capital Management has announced the closure of its Inverse Cramer Tracker ETF (SJIM), a fund designed to bet against Jim Cramer's stock recommendations. This decision follows the closure of the Long Cramer Tracker ETF (LJIM) in September 2023.
In October 2022, Matthew Tuttle, the CEO of Tuttle Capital Management, filed two ETF applications, one for long positions based on Cramer's recommendations (LJIM) and the other for short positions against them (SJIM).
The Inverse Cramer Tracker ETF was actively managed and aimed to achieve returns that went in the opposite direction of Cramer's recommended investments. Unfortunately, the fund struggled to meet its investment objectives.
Commenting on the closure of most ETFs, Jane Edmondson, Head of Thematic Strategy at TMX VettaFi, expressed concerns about the proliferation of "quirky themes unrelated to sound economic principles."
Eric Balchunas, Senior ETF Analyst at Bloomberg, also expressed sadness over the shutdown, stating that the idea had potential, given Cramer's track record of making incorrect calls.
LJIM was closed in September 2023, and SJIM is set to cease trading on February 13th. The decision to close SJIM comes after the fund lost 15% of its net asset value since its launch in March 2023, accumulating just $2.4 million in assets to date.
